Supreme Court to Builder: We can't leave Property Buyers at your mercy, imposes heafty fine

February,20,2017:

Bench warned Real Estate companies not to play with people's dreams of owning a house and instead usurp their hard earnrd Money.

Supreme Court has directed Unitech to pay a fine equivalent to a whopping 14 per cent a year of principal deposited by the 39 buyers, retroactive from 2010, in addition to returning principal amount.

This means that Unitech has to pay out 14 per cent a year for every year from 2010, on principal amount of Rs 16.55 crore which was deposited by 39 flat buyers. This, is in addition to Rs 16.55 crore.

Apex Court has also directed that Unitech to pay atleast 90 per cent of total amount to these buyers within eight weeks.

Last October, Supreme Court has asked realtor to return Rs 16.55 crore to 39 flat buyers in its Vista project.

At that time, Senior Advocate A M Singhvi, appearing on behalf of Unitech, had informed Apex Court that construction was underway on 39 buyers' flats and that they would be handed over to them in April,2017.

Apex Court Bench had however, refused to grant more time after buyers "unequivocally and categorically" turned down the company's proposal.

Bench further warned real estate companies to not to play with people's dreams of owning a house by reneging on their promise of delivering flats in time and instead making them run from pillar to the post to get back their hard-earned money.

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